Real ROI

A few months ago, I was chatting with one of my neighbors who bought her first property in the early ‘60s at the height of the hippie era.
Text by Jorge Arauz | December 27, 2018 | Lifestyle

Amid all the peace and love and groovy dance moves, she saved what little money she had, got married and bought a little bungalow in Coral Gables a few days after getting hitched. The kids came and went and her husband passed away in the mid 1990s but she remained in their little slice of paradise purchased for just under $25,000. In the beginning, they had taken out a traditional mortgage and paid it off early after a surprise inheritance arrived in the mail. Throughout the years, they expanded on the bungalow, making full use of the extra land and setbacks, eventually adding a pool and guest house for their growing brood. Today, the property is worth a little over $1 million. “Can you believe it?” she asked me, “I’m a millionaire!” Of course I believe it. From the time I was old enough to write a check I’ve been told that real estate is the quickest and surest path to wealth. Location and timing are everything. Should any of us realistically expect an ROI as incredible as my neighbor’s? It all depends on the deal. And there’s definitely no shortage of those if you know where to look.